cover
- Published: April 2025
- Pages: 200
- Tables: 36
- Figures: 31
The global market for lithium-ion battery recycling has seen surging growth in recent years driven by escalating consumption of lithium-ion batteries in electric vehicles, energy storage systems and consumer electronics. As lithium battery usage continues to accelerate, recycling will become ever more critical to recover valuable battery materials like cobalt, nickel, lithium and provide a sustainable, closed-loop supply chain. As the first wave of electric vehicle batteries begins reaching end-of-life status, a significant "retirement tide" is emerging. These batteries, with typical service lives of 5-8 years, represent both an environmental challenge and an economic opportunity.
China dominates this landscape, accounting for approximately 70% of global battery recycling capacity. Currently, established recycling facilities worldwide have a capacity of around 1.6 million tons annually, with projections indicating this will exceed 3 million tons when planned facilities come online. Asia leads with existing recycling capacity of more than 1.2 million tons per year, followed by Europe at 200,000 tons and North America at 144,000 tons. The sustainability imperative for Li-ion battery recycling extends beyond environmental concerns. As demand for critical minerals like lithium, nickel, and cobalt continues to surge—with lithium demand projected to increase sevenfold by 2040—a significant supply gap is expected to emerge around 2035. Battery recycling offers a strategic solution to reduce dependence on traditional mining operations while mitigating future supply disruptions.
Government regulations and investments are accelerating market development. In the U.S., the Department of Energy has committed $375 million to support Li-Cycle's recycling facility construction. Meanwhile, Europe's implementation of new battery regulations in 2023 has sparked significant industry growth, with Umicore announcing plans for Europe's largest battery recycling plant with an annual capacity of 150,000 tons. The recycling process recovers valuable materials including lithium, cobalt, nickel, and increasingly, graphite. While historically recyclers focused on high-value metals, growing attention is being directed toward lower-value components like LFP (lithium iron phosphate) cathodes and graphite anodes, as these materials represent an increasing share of the battery market.
By establishing robust recycling infrastructure, battery manufacturers can shield themselves against volatile raw material prices, secure more stable domestic supply chains, and meet increasingly stringent regulatory targets across key regions. This circular economy approach ensures that the clean energy transition remains sustainable through the complete lifecycle of Li-ion batteries.
The Global Market for Li-ion Battery Recycling 2025-2045 provides an in-depth analysis of the rapidly expanding global Li-ion battery recycling industry, projected to reach US$52 billion by 2045. With detailed forecasts, technology assessments, and competitive landscape analysis, this report is essential for stakeholders across the battery value chain seeking to capitalize on emerging opportunities in the circular battery economy. Report contents include:
- Market Forecasts 2025-2045: Granular 20-year projections broken down by region, battery chemistry, feedstock source, and recovered materials
- Technology Analysis: Comprehensive evaluation of mechanical, hydrometallurgical, pyrometallurgical, and direct recycling technologies with SWOT analyses
- Regulatory Landscape: Detailed analysis of policies and regulations across major markets including China, EU, US, India, South Korea, and Japan
- Competitive Intelligence: Profiles of 118 key players with insights on recycling facilities, technologies, capacities, and strategic partnerships
- Economic Assessment: In-depth analysis of recycling economics by battery chemistry, including cost structures and value recovery strategies
- Emerging Innovations: Cutting-edge developments in direct recycling, graphite recovery, and alternatives to PVDF binders
- Detailed breakdown of Li-ion battery components and chemistries
- End-of-life management pathways and sustainability imperatives
- Closed-loop value chain analysis for EV batteries
- Global regulatory frameworks and policy trends
- Comprehensive Technology Assessment
- Mechanical pre-treatment processes and innovations
- Hydrometallurgical recycling methods and economics
- Pyrometallurgical approaches and limitations
- Direct recycling technologies and commercialization timeline
- Component-specific recycling strategies (cathodes, anodes, electrolytes, binders)
- Market Analysis and Economics
- Key market drivers and challenges through 2045
- Investment landscape with $3.1B funding analysis
- Partnership and supply agreement trends
- Economic analysis of different recycling pathways
- Second-life applications vs. direct recycling economics
- Comparative economics by battery chemistry (NMC, LFP, etc.)
- Regional Market Analysis
- Strategic Forecasts (2025-2045)
- Volume projections (GWh and kilotonnes)
- Market value forecasts (US$B)
- Chemistry-specific recycling trends
- Recycling by feedstock source (EVs, manufacturing scrap, energy storage, consumer electronics)
- Critical material recovery projections (lithium, nickel, cobalt, manganese, graphite)
- Competitive Landscape
- 118 detailed company profiles across the recycling value chain
- Facility capacities and technology approaches
- Strategic partnerships and expansion roadmaps. Companies profiled include 24M, 4R Energy Corporation, American Battery Technology Company (ABTC), ACE Green Recycling, Accurec Recycling GmbH, Advanced Battery Recycle (ABR) Co., Altilium, Allye Energy, Anhua Taisen, Akkuser Oy, Aqua Metals, Ascend Elements, Attero Recycling, BASF, Battery Pollution Technologies, Batrec Industrie AG, Battri, Batx Energies, BMW, Botree Cycling, CATL, CellCircle, Cirba Solutions, Circunomics, Circu Li-ion, Cylib, Dowa Eco-System, Duesenfeld, EcoGraf, Econili Battery, EcoBat, EcoPro, Electra Battery Materials, Emulsion Flow Technologies, Energy Source, Enim, Eramet, Exigo Recycling, Exitcom Recycling, ExPost Technology, FAMCe, Farasis Energy, Fortum Battery Recycling, Fraunhofer IWKS, Ganfeng Lithium, Ganzhou Cyclewell Technology, GEM Co., GLC RECYCLE, Glencore, Gotion, Graphite One, Green Graphite Technologies, Green Li-ion, Green Mineral, GS Group, Guangdong Guanghua Sci-Tech, Huayou, HydroVolt, InoBat, Inmetco, J-Cycle, Jiecheng New Energy, JX Nippon Metal Mining, Keyking Recycling, Korea Zinc, Kyoei Seiko, LG Chem, Librec, Liebherr-Verzahntechnik, Li-Cycle, Li Industries, Lithium Australia (Envirostream), Lithion Technologies, Lohum, Mecaware, Metastable Materials, Mitsubishi Materials, NEU Battery Materials, Nickelhütte Aue, Nth Cycle, OnTo Technology, Posco HY Clean Metal, Primobius, Princeton NuEnergy, ProtectLiB, Pure Battery Technologies, RecycLiCo Battery Materials, RecycleKaro and more......
This authoritative market report provides stakeholders with essential intelligence to navigate the rapidly evolving Li-ion battery recycling landscape, helping companies identify strategic opportunities, mitigate supply chain risks, and develop sustainable competitive advantages in this high-growth market.
1 INTRODUCTION 12
- 1.1 Lithium-ion batteries 12
- 1.1.1 What is a Li-ion battery? 14
- 1.1.2 Li-ion cathode 17
- 1.1.3 Li-ion anode 20
- 1.1.4 Cycle life and degradation complexity 21
- 1.1.5 Battery failure 22
- 1.1.6 End-of-life 23
- 1.1.7 Sustainability 24
- 1.2 The Electric Vehicle (EV) market 25
- 1.2.1 Emerging market for replacement battery packs 26
- 1.2.2 Closed-loop value chain for EV batteries 27
- 1.2.3 EV batteries longevity 27
- 1.3 Lithium-Ion Battery recycling value chain 29
- 1.4 LIB Circular life cycle 30
- 1.5 Global regulations and policies 31
- 1.5.1 China 34
- 1.5.2 EU 36
- 1.5.3 US 36
- 1.5.4 India 37
- 1.5.5 South Korea 37
- 1.5.6 Japan 37
- 1.5.7 Australia 38
- 1.5.8 Transportation 38
- 1.6 Sustainability and environmental benefits 39
2 RECYCLING METHODS AND TECHNOLOGIES 40
- 2.1 Black mass powder 42
- 2.2 Recycling different cathode chemistries 42
- 2.3 Preparation 42
- 2.4 Pre-Treatment 43
- 2.4.1 Discharging 43
- 2.4.2 Mechanical Pre-Treatment 43
- 2.4.3 Thermal Pre-Treatment 47
- 2.4.4 Pack-level/module-level shredding 48
- 2.4.5 Sieving, eddy current & flotation methods 49
- 2.5 Comparison of recycling techniques 49
- 2.6 Hydrometallurgy 51
- 2.6.1 Method overview 51
- 2.6.1.1 Solvent extraction 52
- 2.6.2 SWOT analysis 53
- 2.6.1 Method overview 51
- 2.7 Pyrometallurgy 55
- 2.7.1 Method overview 55
- 2.7.2 SWOT analysis 56
- 2.8 Direct recycling 56
- 2.8.1 Method overview 56
- 2.8.1.1 Electrolyte separation 57
- 2.8.1.2 Separating cathode and anode materials 58
- 2.8.1.3 Binder removal 58
- 2.8.1.4 Relithiation 59
- 2.8.1.5 Cathode recovery and rejuvenation 59
- 2.8.1.6 Hydrometallurgical-direct hybrid recycling 60
- 2.8.2 SWOT analysis 63
- 2.8.1 Method overview 56
- 2.9 Other methods 64
- 2.9.1 Mechanochemical Pretreatment 64
- 2.9.2 Electrochemical Method 64
- 2.9.3 Ionic Liquids 64
- 2.9.4 Hybrid hydrometallurgical-direct recycling technologies 66
- 2.10 Recycling of Specific Components 67
- 2.10.1 Anode (Graphite) 67
- 2.10.1.1 Overview 67
- 2.10.1.2 Lab-stage graphite recycling (purity, microwave methods) 67
- 2.10.1.3 Graphite companies 68
- 2.10.2 Cathode 68
- 2.10.3 Electrolyte 69
- 2.10.4 Binder 69
- 2.10.4.1 PVDF 69
- 2.10.4.2 PFAS-free alternatives 70
- 2.10.1 Anode (Graphite) 67
- 2.11 Recycling of Beyond Li-ion Batteries 72
- 2.11.1 Conventional vs Emerging Processes 72
- 2.11.2 Li-Metal batteries 73
- 2.11.3 Lithium sulfur batteries (Li–S) 74
- 2.11.4 All-solid-state batteries (ASSBs) 75
3 GLOBAL MARKET ANALYSIS 76
- 3.1 Market drivers 76
- 3.2 Market challenges 77
- 3.3 The current market 78
- 3.4 Recent market news, funding and developments 79
- 3.5 LIB recycler partnerships and supply agreements 83
- 3.6 Economic case for Li-ion battery recycling 84
- 3.6.1 Metal prices 85
- 3.6.2 Second-life energy storage 86
- 3.6.3 LFP batteries 86
- 3.6.4 Other components and materials 86
- 3.6.5 Reducing costs 87
- 3.6.6 Economics by battery chemistry 89
- 3.6.7 Recycling vs second life economics 90
- 3.7 Competitive landscape 92
- 3.8 Supply chain 92
- 3.9 Global capacities, current and planned 93
- 3.10 Future outlook 94
- 3.11 Global market 2018-2045 95
- 3.11.1 Chemistry 96
- 3.11.2 Ktonnes 99
- 3.11.3 Revenues 100
- 3.11.4 Regional 101
- 3.11.4.1 Europe 105
- 3.11.4.1.1 Regional overview 105
- 3.11.4.2 China 106
- 3.11.4.2.1 Regional overview 106
- 3.11.4.3 Rest of Asia-Pacific 108
- 3.11.4.3.1 Regional overview 108
- 3.11.4.4 North America 110
- 3.11.4.4.1 Regional overview 110
- 3.11.4.1 Europe 105
4 COMPANY PROFILES 111 (118 company profiles)
5 TERMS AND DEFINITIONS 192
6 RESEARCH METHODOLOGY 194
7 REFERENCES 194
List of Tables
- Table 1. Lithium-ion (Li-ion) battery supply chain. 13
- Table 2. Commercial Li-ion battery cell composition. 14
- Table 3. Key technology trends shaping lithium-ion battery cathode development. 17
- Table 4. Cathode Materials Used in Commercial LIBs and Recycling Methods. 19
- Table 5. Fate of end-of-life Li-ion batteries. 24
- Table 6. Closed-loop value chain for electric vehicle (EV) batteries. 27
- Table 7. Li-ion battery recycling value chain. 29
- Table 8. Potential circular life cycle for lithium-ion batteries. 30
- Table 9. Regulations pertaining to the recycling and treatment of EOL batteries in the EU, USA, and China 31
- Table 10. LIB recycling policy summary by region. 33
- Table 11. China regulations and policies related to batteries. 34
- Table 12. Sustainability and environmental benefits of Li-ion recycling. 39
- Table 13. Typical lithium-ion battery recycling process flow. 41
- Table 14. Main feedstock streams that can be recycled for lithium-ion batteries. 41
- Table 15. Comparison of LIB recycling methods. 49
- Table 16. Direct Li-ion recycling technology by companies 61
- Table 17. Directly recycled electrode costs vs virgin material. 61
- Table 18. Feedstock types: scrap vs EOL batteries. 62
- Table 19. Comparison of conventional and emerging processes for recycling beyond lithium-ion batteries. 73
- Table 20. Market drivers for lithium-ion battery recycling. 77
- Table 21. Market challenges in lithium-ion battery recycling. 77
- Table 22. Recent market news, funding and developments in Li-ion battery recycling. 79
- Table 23. LIB recycler partnerships and supply agreements. 83
- Table 24. Economic assessment of battery recycling options. 85
- Table 25. Retired lithium-batteries. 87
- Table 26. Economics by battery chemistry. 89
- Table 27. Recycling vs second life economics. 90
- Table 28. Global capacities, current and planned (tonnes/year). 93
- Table 29. Global lithium-ion battery recycling market in tonnes segmented by cathode chemistry, 2018-2045. 96
- Table 30. Global Li-ion battery recycling market, 2018-2045 (ktonnes) 99
- Table 31. Global Li-ion battery recycling market, 2018-2045 (billions USD). 100
- Table 32. Li-ion battery recycling market, by region, 2018-2045 (ktonnes). 102
- Table 33. Li-ion battery recycling market, in Europe, 2018-2045 (ktonnes). 105
- Table 34. Li-ion battery recycling market, in China, 2018-2045 (ktonnes). 106
- Table 35. Li-ion battery recycling market, in Rest of Asia-Pacific, 2018-2045 (ktonnes). 108
- Table 36. Li-ion battery recycling market, in North America, 2018-2045 (ktonnes). 110
List of Figures
- Figure 1. Li-ion battery cell pack. 13
- Figure 2. Lithium Cell Design. 16
- Figure 3. Functioning of a lithium-ion battery. 17
- Figure 4. LIB cathode recycling routes. 19
- Figure 5. Lithium-ion recycling process. 25
- Figure 6. Process for recycling lithium-ion batteries from EVs. 26
- Figure 7. Circular life cycle of lithium ion-batteries. 31
- Figure 8. Typical direct, pyrometallurgical, and hydrometallurgical recycling methods for recovery of Li-ion battery active materials. 40
- Figure 9. Mechanical separation flow diagram. 44
- Figure 10. Recupyl mechanical separation flow diagram. 46
- Figure 11. Flow chart of recycling processes of lithium-ion batteries (LIBs). 51
- Figure 12. Hydrometallurgical recycling flow sheet. 52
- Figure 13. TES-AMM flow diagram. 53
- Figure 14. SWOT analysis for Hydrometallurgy Li-ion Battery Recycling. 54
- Figure 15. Umicore recycling flow diagram. 55
- Figure 16. SWOT analysis for Pyrometallurgy Li-ion Battery Recycling. 56
- Figure 17. Schematic of direct recyling process. 57
- Figure 18. SWOT analysis for Direct Li-ion Battery Recycling. 63
- Figure 19. Schematic diagram of a Li-metal battery. 74
- Figure 20. Schematic diagram of Lithium–sulfur battery. 75
- Figure 21. Schematic illustration of all-solid-state lithium battery. 76
- Figure 22. Li-ion Battery Recycling Market Supply Chain. 93
- Figure 23. Global scrapped EV (BEV+PHEV) forecast to 2040. 96
- Figure 24. Global Li-ion battery recycling market, 2018-2045 (chemistry). 98
- Figure 25. Global Li-ion battery recycling market, 2018-2045 (ktonnes) 100
- Figure 26. Global Li-ion battery recycling market, 2018-2045 (Billion USD). 101
- Figure 27. Global Li-ion battery recycling market, by region, 2018-2045 (ktonnes). 104
- Figure 28. Li-ion battery recycling market, in Europe, 2018-2045 (ktonnes). 106
- Figure 29. Li-ion battery recycling market, in China, 2018-2045 (ktonnes). 108
- Figure 30. Li-ion battery recycling market, in Rest of Asia-Pacific, 2018-2045 (ktonnes). 110
- Figure 31. Li-ion battery recycling market, in North America, 2018-2045 (ktonnes). 111
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